Small businesses create jobs and bolster our economy. But our tax code currently bases small business taxes on the income tax bracket of the small business owner, meaning some small businesses have a higher tax rate than big corporations, which have capped tax rates.
That's why I introduced the “Main Street Fairness Act,” a bill which would ensure that small businesses do not pay taxes at a higher rate than corporations. Local mom and pop stores and medium-sized businesses should not be burdened with a higher tax rate than multinational corporations with billions of dollars in earnings.
America has the highest corporate tax rate in the developed world—and small businesses face even higher rates.
The goal of tax reform should be to boost the economy and create more American jobs. This goal is undermined when small- and medium-sized businesses face high tax rates, making it more difficult for them to create jobs that are crucial to our economy.
The Main Street Fairness Act has garnered support from Grover Norquist, pro-taxpayer advocate and president of Americans for Tax Reform, and from other pro-small business advocacy organizations.
I will fight to get this commonsense legislation passed to ensure our tax laws are fairer for smaller businesses.
U.S. Rep. Vern Buchanan, R-Fla., was first elected to Congress in 2006.